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Gaming

Pokemon Go fever shows signs of fading

Data collected by market researchers shows engagement, daily users and time spent on the app per day in decline, Bloomberg reports.

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People play at the Pokemon Go augmented reality game in Lillo, Belgium, a village that harbors rare Pokemon and as been flooded with Pokemon GO hunters since the mobile game launched.

Nicolas Maeterlinck/AFP/Getty Images

Pokemon Go play has peaked and is already in decline, according to investment adviser Axiom Capital Management.

The number of daily active users, downloads, engagement and time spent on the app each day are off their highs from just a month a go and are showing a downward path, according to data, collected by Sensor Tower, SurveyMonkey and Apptopia, which was supplied to Bloomberg by Axiom. That will be welcome news to investors and executives alike at Facebook, Twitter, Tinder and Snapchat, according to Axiom Senior Analyst Victor Anthony.

"Given the rapid rise in usage of the Pokemon Go app since the launch in July, investors have been concerned that this new user experience has been detracting from time spent on other mobile focused apps," Anthony wrote in a note cited by Bloomberg.

Not long after Pokemon launched in July, users were soon spending more time on average playing the augmented reality mobile game than in apps for Snapchat, Twitter and even Facebook. But if current trends continue, the data suggests the popularity of Pokemon will be short-lived, along with augmented gaming in general, Anthony wrote.

"The Google Trends data is already showing declining interest in augmented reality, whereas interest in virtual reality remains high," he concludes.

Niantic Labs, the creator of Pokemon Go, did not immediately respond to requests for comment.